ESG Investing in “White Gold”: The Case of Lebanese Salinas

Abstract

Lebanese sea salt is historically known as “white gold”. Traditional coastal sea salt production now survives mainly in the coastal city of Anfeh, and is facing various constraints due to regulations, as well as environmental threats which affect the quality of the sea salt. This research points out the case of Lebanese Salinas that invested in ESG to improve the salt quality through social implications and diverse environmental techniques. Based on ESG investments and innovation theory, the main objectives of this research action project were to: create a plastic-free area and implement plastic-free sea salt production at 10 Salinas, using a local innovative tool to filter sea water that consists of a windmill, pump, metallic tube, and filter, which is placed on the main basin of a Salina to prevent the leakage of microplastics into the water used in sea salt extraction, to obtain a plastic-free sea salt. This would create a sustainable, ecofriendly process via the sorting of plastics at the source, clean-up activities, awareness activities, and incentive activities, resulting in the production of better sea salt and the promotion of local products and coastal tourism. The goal of the study was to implement methods that were recommended in the “S.O.S. (Save our Salt)” initiative, which was put into place by the Green Community NGO to protect Lebanese sea salt production and guarantee a reduction in the amount of these microparticles in sea salt. Data gathered from the project, as well as from in-person interviews and follow-ups with the project team, were used to conduct the empirical analysis. The amount of plastic that was present was reduced, resulting in one of the best sea salts in the area. Findings aligned with ESG investment for an increasing and sustainable firm performance and have several practical implications for many stakeholders, both internally and externally, including managers, investors, lenders, policymakers, government, and the public. Our results highlight the significance of formulating regulations for Lebanese Salinas to collectively handle production risks and enhance technical efficacy, and for regulators to lessen marine pollution.